Rome’s prospective antiestablishment government has shocked markets, with bond yields jumping higher on the potential for anti-euro policy positions

The prospective antiestablishment government of Italy has shocked markets, with bond yields jumping higher on the potential for anti-euro policy positions and a burst of new government spending.

The gap between Italy and Germany’s government bond yields climbed to 1.92 percentage points early Wednesday, the highest in nearly a year. During the last week that spread. a common measure of the perceived risk to holding Italian debt, has increased more quickly than at any time in the last five years.